EconPapers    
Economics at your fingertips  
 

Multiple Reserve Requirements

Marco Espinosa-Vega ()

Journal of Money, Credit and Banking, 1995, vol. 27, issue 3, 762-76

Abstract: This paper investigates the consequences of government imposition of multiple reserve requirements on commercial banks. In particular, it examines a situation in which banks are required to hold some fraction of their customer's deposits in the form of domestic currency and another fraction in the form of interest bearing government bonds. Proponents of such requirements claim that for a given deficit, a multiple reserve scheme leads to a lower rate of inflation than would occur under a single reserve regime. I construct a model which provides a framework for analyzing this view. The analysis does not focus exclusively on the inflationary effect of alternative reserve regimes. The model also allows for welfare analysis. Copyright 1995 by Ohio State University Press.

Date: 1995
References: Add references at CitEc
Citations: View citations in EconPapers (14)

Downloads: (external link)
http://links.jstor.org/sici?sici=0022-2879%2819950 ... CO%3B2-%23&origin=bc full text (application/pdf)
Access to full text is restricted to JSTOR subscribers. See http://www.jstor.org for details.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:mcb:jmoncb:v:27:y:1995:i:3:p:762-76

Access Statistics for this article

Journal of Money, Credit and Banking is currently edited by Robert deYoung, Paul Evans, Pok-Sang Lam and Kenneth D. West

More articles in Journal of Money, Credit and Banking from Blackwell Publishing
Bibliographic data for series maintained by Wiley-Blackwell Digital Licensing () and Christopher F. Baum ().

 
Page updated 2025-03-19
Handle: RePEc:mcb:jmoncb:v:27:y:1995:i:3:p:762-76